Germany set to boost defense with historic debt deal
The future Chancellor of Germany, Friedrich Merz, confirmed on Friday that the CDU/CSU Christian Democratic parties and Social Democrats have reached an agreement with the Greens to increase Germany's debt to allocate additional funds for defense purposes. The vote on this matter will take place on Tuesday in the Bundestag.
"Germany is back in the game," declared Merz, adding that this agreement sends a signal to Berlin's partners and opponents about Germany's determination to strengthen its defense.
The agreement stipulates that spending exceeding 1 percent of GDP on defense and security will be excluded from the so-called debt brake. For this purpose, a constitutional amendment is necessary, which in turn requires a two-thirds majority in parliament. To secure the necessary number of votes, the Christian Democrats and Social Democrats needed the support of the Greens or the liberal FDP.
Earlier on Friday, Reuters reported on the arms agreement. Meanwhile, the Tagesschau service noted that the budget committee postponed its meeting from the morning hours to late afternoon, thereby allowing more time for talks. The committee's recommendation is essential for the plan to be finally presented to the Bundestag on Tuesday.
However, as the "Bild" newspaper's portal learned, 100 billion euros (approximately 110 billion dollars) is to be allocated to the climate protection fund KTF. CDU/CSU and SPD had previously offered 50 billion euros (approximately 54 billion dollars). CDU/CSU and SPD also want to create a special fund for infrastructure reconstruction amounting to 500 billion euros (approximately 540 billion dollars) over ten years.
